Medical Factoring

Simply stated, medical receivables factoring, or accounts receivable financing, is the purchase of accounts receivable from a medical services provider at a small discount. It is designed to dramatically improve cash flow for service providers who choose not to wait 30, 60, 90 days or more to get paid for the services they provide.

Medical facilities, hospitals and a host of ancillary service providers are now able to improve their competitive position by leveraging their receivables using medical invoice factoring. Many industries have benefited dramatically from accounts receivable funding and have used this service for decades. The majority of medical service providers and practitioners, however, are unfamiliar with medical factoring and how this powerful financial tool will enable you to:

Expand your practice
Upgrade facilities and equipment
Reduce payables and operating costs

Medical factoring, or medical receivables funding is a means by which the healthcare provider receives immediate cash for billings to third-party payors (i.e. commercial insurance companies, HMO’s, Blue Cross/Blue Shield, Medicare, Medicaid, etc.) We purchase your billings and collect payments from the third party payors.

By selling (or factoring) your medical accounts receivables, you no longer must wait 45-90+ days for insurance reimbursement. Enjoy a dependable, weekly source of funds within about seven days of patient treatment!

TriMark Capital Funding, Inc. offers the most flexible financing solutions. These are the general financing parameters for transactions.

Financing Parameters:

Transaction Size:	Typically $100,000 - $10,000,000 in Net Monthly Collections MINIMUM Monthly Billing Is $100,000
Advance Rates:	Up to 95% of the estimated reimbursement
Term:	1 Year commitment
Pricing:	A flat discount rate, with a one time origination fee on the first funding. No application or due diligence fees.
Parameters:	Must be able to obtain clear title to Accounts Receivable. Requires a personal guarantee.
Geographic Area:	Nationwide
Types of Clients:	Physicians, Group Practices, Durable Medical Equipment Companies, Skilled Nursing Facilities, MRI Centers, Surgery Centers, Hospitals, Home Infusion Providers, EMS/Ambulance Companies, and any other medical provider with traditional third-party insurance claims. We may look at chiropractors, workers compensation and self pay on a case-by-case basis.

How does it work?

When you issue an invoice to a customer, or to an insurance carrier or government agency – you typically wait 30 to 90 days before the invoice gets paid. During that time, you’re earning nothing on that money. You can’t use it to pay your staff, your bills, buy new equipment, or expand your business. Essentially, you’re extending your customers an interest-free line of credit from your own pocket until they pay.

There are many funding sources that specialize in purchasing your accounts receivable, providing you an immediate access to cash without incurring debt. The funding source is able to collect on your invoices with greater efficiency due to the inherent economies of scale. You get cash to pay your bills and expand your business. You also save on administrative costs by reducing the time you have to spend haggling with third party payors. Best of all, you get rid of a major headache – unpaid customer invoices – which will let you focus on what’s important to you, becoming the best medical provider possible.

What is different about the healthcare industry?

When healthcare industry has the most regulated and confusing system of invoicing and payment of any industry. It’s no surprise so many healthcare providers actually never get paid for the services they perform.

Because of this complexity, many funding sources won’t do business with the healthcare industry. They prefer the simplicity of less regulated businesses like manufacturing, transportation or apparel distributors.

TriMark Capital Funding, Inc. has done the legwork for you by securing funding sources that specialize in the healthcare industry. These are companies that have the expertise and capacity to address the many pressing issues you face on a daily basis.

Clear benefits

Medical accounts receivable funding guarantees that the healthcare industry will:

Improve the consistency of its cash flow
Increase the overall percentage of billings collected
Decrease the interval between the time they provide service and the time they are paid for it
Reduce administrative costs by taking advantage of the economies-of-scale that result from sharing the cost of collecting accounts receivable with other healthcare providers

TriMark Capital Funding, Inc. realizes that a successful healthcare practice depends as much upon effective financial management as it does on quality care. For this reason, an increasing number of healthcare providers are looking for finance companies that can help them handle their cash flow requirements. We can facilitate financial funding of medical receivables and have a well seasoned staff that was created specifically to handle this unique financial niche.

The long delay between the time you perform a medical service and the time you are ultimately paid, coupled with a bureaucratic and very cumbersome third-party billing structure has resulted in diminishing your business cash flow.

All of this is and more is possible because we are nationwide buyers of medical accounts receivables. By selling your medical accounts receivables, you no longer wait 45-120 days for insurance reimbursement and instead, enjoy a dependable, weekly source of funds within about seven days of patient treatment!

We provide IMMEDIATE CASH RELIEF For Optimal Bottom Line Growth

Ideal for any medical-related services in which insurance companies and governmental agencies are the debtors.

We provide capital to a nationwide network of healthcare providers including, but not limited to sole practice physicians, group practice physicians, nursing homes, hospitals, home healthcare companies, rehabilitation / physical therapy companies, durable medical equipment providers, MRI, radiology centers, ambulance service providers and laboratories. We offer accounts receivable financing for healthcare clients whose funding needs range from $100,000 to $100 million. While many industries are very familiar with the use of accounts receivable funding to improve the consistency of their cash flow and increase their bottom line, the overwhelming majority of health care providers have never heard about this service, and do not realize what accounts receivable financing can do for them.

Mainstream Accounts Receivable

The "mainstream" types of accounts receivable that we will consider for funding are accounts receivable which are generated by a healthcare service company and are due from third party payors which include the following payor categories: Medicare, Medicaid, Commercial Insurance, Private Insurance, HMO/PPO, and Managed Care. The average time to collections for most of the Accounts Receivable that we fund range from 90 - 120 days (we will also consider receivables which collect in longer time periods).

Accounts Receivable Which Are Non-Mainstream, But Are Acceptable

We will also consider funding accounts receivable whereby the payors are actually healthcare facilities themselves, such as a nursing home or a hospital, whereby the healthcare provider client is contracting to provide its services to the healthcare facility.

Our standard of service and knowledge of the healthcare industry is unmatched by commercial banks or other finance companies. We provide flexible, asset-based loans and/or accounts receivable purchase fundings at highly competitive rates, with no hidden fees.

To factor your medical receivables, start here. If you have questions, call us toll-free at 623.536.0896